Apple 'completely blown away' by iPhone 5 demand

1234579

Comments

  • Reply 121 of 162
    Maybe I got 'lucky'... I ordered my white iPhone 5 32GB late on Friday afternoon here in the UK from Apple's website. At the time the 'shipping date' was 2-3 weeks, then 2, then 'October' on my order. I got an email this afternoon to say the phone will be arriving on the 21st.
     
    Perhaps they can't count? Oh well, my wife will be upset I've been spending again, sooner than I thought ;)

    That's happened before. I could have ordered it for 2 weeks and had a decent chance it would have shown up on the 21st or at least under 2 weeks. I opted to buy it in store since my store isn't usually swamped. I hope I made the right decision because that positional good is going to kill me.
  • Reply 122 of 162


    In other words, assuming a conservative figure sales of about 30 Millions iPhones in the quarter (probably much more), according to a rough calculation, they will sell 3000 Tons of a product priced at about 10$ a gram. Amazing, uh ?

  • Reply 123 of 162

    Quote:

    Originally Posted by photoeditor View Post



    I am still not impressed. First, because it's underwhelming in my view from a hardware standpoint. No increase in storage capacity. No water resistance. No push for a bigger display (4.3 inch with the same resolution and still keeping it at above 300ppi for the Retina claims would have been more legible and more finger-friendly than what they chose). Not enough battery life (apparently shaving off two millimeters instead of one is more important than adding four hours of battery life). Second because iOS still is lacking with notifications and customizability compared to Android. And third (though Android is guilty of this too), because it is so obviously overpriced. It costs less than $200 to manufacture a smartphone. But the hysteria is still so great, and the manufacturer-driven, phone company-supported BS about "subsidies" so effective, on both the Apple and Android side of the coin, that people will effectively pay, not the typical 40 percent markup on electronics ($300 to $350 after allowing for shipping and marketing costs), but $550 to $700 for an Android and $650 to $850 for an iPhone.

    I look forward to the day when commodity pricing takes hold and the hysteria and me-too faddism of smartphones abate.


    What we all seem to fail to note, or appreciate, is that Apple is just a single company, putting out a single phone, versus the ENTIRE INDUSTRY. The industry puts out hundreds of different models, with dozens of different form factors. Handset makers and software makers all making dozens and dozens of upgrades, bells and whistles that their phones can do. Most of those phones are substandard to the iPhone (In my opinion).  


     


    Apple cannot keep up with the improvements and 'innovations' of the entire industry in one phone. Some makers seem to come out with a new phone every week. Apple upgrades one handset, once a year. They don't rush half-or even quarter-baked products out into the the market for consumers to fumble with. "The beta test of Windows phone is over!"  I'm not even sure what that slogan is supposed to mean. An admission of guilt? Tongue in cheek?


     


    My point is, that Apple puts out the best product they can, with the features they feel are the best for that model. Even now they are working on the new features for NEXT year's model. Don't expect this, or any iPhone, to be able to do everything every other phone can do.  In the mean time, Shamesung will have introduced 400 models in that year.....   

  • Reply 124 of 162


    Originally Posted by photoeditor View Post

    First, because it's underwhelming in my view from a hardware standpoint.


     


    Fastest phone on the planet. Underwhelming. That's nice.


     




    No water resistance.



     


    Buy a diving watch.


     



    No push for a bigger display


     


    Apple explicitly makes a phone with larger display.


    People whine that they didn't make a larger display.


     


    Are you frigging joking?






    Not enough battery life…



     


    Genuine question: does anything else with comparable hardware better? Nothing has comparable hardware, so get as close as possible.






    Second because iOS still is lacking with notifications and customizability compared to Android.



     


    Has Notification Center.


    Lacks notifications.


     


    Are you frigging joking?






    And third (though Android is guilty of this too), because it is so obviously overpriced.



     


    Huh. Hmm. Every phone on the market costs this much. Hmm… maybe… that's what phones cost. Huh. Did… Hmm.






    It costs less than $200 to manufacture a smartphone.



     


    No. You don't have a clue what you're talking about. The parts cost less than $200. Manufacturing is not included. Shipping is not included. Packaging is not included. Marketing is not included. Prototypes are not included. Research is not included. Testing is not included. Software development is not included. 


     



    I look forward to the day when commodity pricing takes hold and the hysteria and me-too faddism of smartphones abate.


     


    And I look forward to the day when you can look back on that post of yours and be embarrassed.

  • Reply 125 of 162

    Quote:

    Originally Posted by Tallest Skil View Post


     


    And I look forward to the day when you can look back on that post of yours and be embarrassed.



    I am embarrassed for the misinformed and ignorant DD. The reality will never set in for him though. What a post...

  • Reply 126 of 162
    ipenipen Posts: 410member


    Wow, I'm still debating about staying with my 4s or upgrading.  Anyway, I think this is hardly news.  It's Apple's way to sell out by the first day, very predictable. 


    I wonder how much inventory they had and how that compares to the 4s launch.  I'll be really really surprised if 5 was not sold out the first few days.     

  • Reply 127 of 162
    ipen wrote: »
    Wow, I'm still debating about staying with my 4s or upgrading.  Anyway, I think this is hardly news.  It's Apple's way to sell out by the first day, very predictable. 
    I wonder how much inventory they had and how that compares to the 4s launch.  I'll be really really surprised if 5 was not sold out the first few days.     

    1) The news is they sold out within the first hour. That's 12x faster than last year. Seems to be that's a huge gain. Getting 12x faster next year won't happen unless you think 5 minutes is feasible. As for inventory, we don't know but we can look at the launch cycle they have planned for themselves as a clue. They are building out faster this year than any other year so I think it's a safe assumption that they have more units ready this time. Looking at how far back the leaks from China are for this device is another clue about the ramp up.

    2) I don't think you should think about your 4S to 5 upgrade from right now, but consider if you'll be wanting to use your 4S in 3, 6 or 9 months from now. It's been 27 months since the iPhone 4 was released and I really wish I would have kept my 4S now. Home button was fine after a year of constant use but at 2 years not so much.
  • Reply 128 of 162


    Originally Posted by SolipsismX View Post

    Getting 12x faster next year won't happen unless you think 5 minutes is feasible.


     


    If WWDC is any indication…

  • Reply 129 of 162
    If WWDC is any indication…

    What are the YoY WWDC sell out results?
  • Reply 130 of 162


    Originally Posted by SolipsismX View Post

    What are the YoY WWDC sell out results?


     


    Days to hours to minutes, I think. Don't know the actual times.




    Every year, ever more people are angry that they're at work and can't buy tickets before they're sold out, so that's telling.

  • Reply 131 of 162
    Days to hours to minutes, I think. Don't know the actual times.


    Every year, ever more people are angry that they're at work and can't buy tickets before they're sold out, so that's telling.

    Considering it's a static 5-6k number I see that, but the iPhone is different. Interest in Apple is growing much faster than they can expand production but they are clearly increasing it.

    It seems doubtful but I do hope they can find a better way to offer WWDC to more people. The videos are nice and they do seem to appear faster then before, so that's something, but I would like to see an option for 2 weeks with no repeat attendees and/or multiple venues with revolving engineers that are trained for these classes instead of essentially shutting down Apple HQ for WWDC.
  • Reply 132 of 162
    mcrsmcrs Posts: 172member


    No. You don't have a clue what you're talking about. The parts cost less than $200. Manufacturing is not included. Shipping is not included. Packaging is not included. Marketing is not included. Prototypes are not included. Research is not included. Testing is not included. Software development is not included. 


    And, yet..., Apple reported in its company filing that the gross margin of its Iphone is around 50%. Translation: it's way overpriced for a consumer electronics. Although, Apple also "complained" that the profit margin for its Ipad is "just hovering" around 25%. Well, at least, the Apple flocks are happy flaunting their riches, or perhaps not, since a great many of them elected to go on to "pay by installment" plans with either their credit cards or big telco's purchase agreements, an extremely foolish decision if they call themselves as financially savvy. It is like getting a a gadget that costs USD650 for about USD1200 to be disposed of later in 24 months for just USD200. That makes a whole lot of economic sense.

    Another question is whether most of the [US] users of Apple gadgets are also actually Apple shareholders. I guess this is just repeating Warren Buffet's famous mantra to only "buy what you know". Nevertheless, the shareholders are no doubt ecstatically happy since Apple's share price keeps going higher and higher...
  • Reply 133 of 162


    Originally Posted by mcrs View Post

    And, yet..., Apple reported in its company filing that the gross margin of its Iphone is around 50%. Translation: it's way overpriced for a consumer electronics. 


     



     


    And yet, people buy it. So that's not the case, by definition.

  • Reply 134 of 162
    LL

    And yet, people buy it. So that's not the case, by definition.

    It's great how Apple offers performance and quality that is unparalleled and cheaper than conpetitors for comparable products but they are overpriced because they are also unparalleled at being efficient in how they invest in and build their products combined woth increased scale. I'd love to see the rationale how other companies are altruistc because they can't figure out how to turn a profit.
  • Reply 135 of 162

    Quote:

    Originally Posted by SolipsismX View Post







    It's been 27 months since the iPhone 4 was released and I really wish I would have kept my 4S now. Home button was fine after a year of constant use but at 2 years not so much.


    I know what you mean. The home button on my iP4 is slowing beginning to die.......

  • Reply 136 of 162

    Quote:

    Originally Posted by SolipsismX View Post





    It's great how Apple offers performance and quality that is unparalleled and cheaper than conpetitors for comparable products but they are overpriced because they are also unparalleled at being efficient in how they invest in and build their products combined woth increased scale. I'd love to see the rationale how other companies are altruistc because they can't figure out how to turn a profit.


    What is going to give a higher profit margin, a $500 netbook made of cheap materials, or a $1000 Macbook made of quality material? Most companies would give anything for Apple's profit margin. It also speaks volumes about Apple's manufacturing production and distribution methods. You get what you pay for. If you can't afford one, you buy the other.......

  • Reply 137 of 162
    maecvs wrote: »
    What is going to give a higher profit margin, a $500 netbook made of cheap materials, or a $1000 Macbook made of quality material? Most companies would give anything for Apple's profit margin. It also speaks volumes about Apple's manufacturing production and distribution methods. You get what you pay for. If you can't afford one, you buy the other.......

    There has always been the high volume crap with slim margins v. high quality with good margins. There was a long time that in the PC and CE realm that the high volume products were very profitable to HW vendors. Apple almost went under during that time. Now we have Apple doing something unheard of by having the best device at the best price for a given quality and being able to produce and sell more units of the same device than any other vendor. I don't there has been such an achievement since Moog branched out Clovis Blade business.
  • Reply 138 of 162

    Quote:

    Originally Posted by mcrs View Post





     Translation: it's way overpriced for a consumer electronics. 


     


     No such thing. 


     


    Apple charges what the market will bear. And the market isn't only bearing it, it can't wait to get more of it. 


     


    Apple can charge an arm and a leg for an iPad (or insert name of your favourite iDevice), and consumers will show up in droves. Acer can charge an arm and a leg for their whatever-device. And within a year it's probably abandonware. 

  • Reply 139 of 162
    jragostajragosta Posts: 10,473member
    mcrs wrote: »
    And, yet..., Apple reported in its company filing that the gross margin of its Iphone is around 50%. Translation: it's way overpriced for a consumer electronics.

    No, it's not.

    Apple's phone is not that much more expensive than a top of the line phone from other vendors. Thus, Apple is charging market price.

    The fact that they have super-efficient manufacturing which brings their costs down (and improves margins) does not make it overpriced. Price is determined by the market, not manufacturing cost (other than manufacturing cost setting a minimum that you can sell it for).
  • Reply 140 of 162
    mcrsmcrs Posts: 172member
    maecvs wrote: »
    Originally Posted by SolipsismX

    It's been 27 months since the iPhone 4 was released and I really wish I would have kept my 4S now. Home button was fine after a year of constant use but at 2 years not so much.
    I know what you mean. The home button on my iP4 is slowing beginning to die.......

    And, yet, the two of you gave us an example of how disposable Apple's gadget is. After merely two years and spending between USD650 to USD1200, the gadgets you so loved are about to be ready to be flushed down the toilet.

    Let me correct your original statement. The crap device is the one which only last months. The less crappy device is the one that lasts a couple of years [in here comes various Apple gadgets, especially Ipods, Iphones]. The best device which commands the profit margin of 50+% will last a lot longer than that. Of course, this is in theory only, in practice, however, Iphone proudly raises its hand as the one deserved to be paid much more than its worth due to its "reliability" and "longevity", and thus the term "Apple tax" was coined. But, for a gadget that can barely lasts for two years, the Iphones certainly do not deserve to be paid premium for.
Sign In or Register to comment.